Boone Pickens Sees Crude Oil Market Testing $60

The market will test whether consumers can handle $60 crude, although the level might need to approach $70 to whittle down demand, famed oil investor Boone Pickens said on Tuesday.

“I think people are scratching their heads as to whether the world will accept $60 like it did $50,” Pickens told the Reuters Energy Summit. “You could go to $70, but at some point it’s going to cost on the demand side.

“Sixty may slow everything down.”

Despite promises of output increases worldwide, Pickens predicted global production should steady around 84 million barrels per day (bpd) in the fourth quarter and about 2 million bpd in projected demand will need to be shed.

Reuters